A new study by LendingTree found that fast food, once viewed as a staple for lower-income workers and families, is increasingly unaffordable for the employees who work at fast-food restaurants.
The online lending site compiled average hourly and annual wage data for fast food and counter workers using the U.S. Bureau of Labor Statistics (BLS) and compared them to average wages for all occupations. Analysts determined that fast-food employees must work more than twice as long as the average U.S. worker to earn the cost of a typical fast food meal.
A fast-food employee must work for 46 minutes to purchase a typical combo meal, which averages $11.56 nationwide, according to LendingTree, while the average American worker requires 21.2 minutes. This gap is most extreme in San Jose, Washington, D.C., and Atlanta.
The report also found that if fast food comprised a worker’s entire diet (which no one recommends), it would consume 40.3% of their salary, leaving less than 60% for all other living expenses. In contrast, the average U.S. worker would spend 18.6% of their income on three fast food meals a day.
“As inflation drives up food costs, 16% of Americans are turning to fast food and other ‘cheaper options’ to save money,” LendingTree noted in its report. “But rising fast food prices undermine this strategy, making a once-affordable American staple an expensive treat.”
In April 2024, California enacted a $20 per hour minimum wage for fast food workers at large chains. This measure aimed to address low wages within the industry. However, its long-term effects on employment are frequently debated. Most, if not all, fast-food chains in California raised prices to help offset the increased costs.
San Francisco recorded the highest average cost for a flagship fast food meal at $13.88, while Columbus, Ohio, registered the lowest at $10.01.
Where fast food workers need to work more hours to buy a typical fast food meal
| Rank | Metro | Avg. hourly wage, fast food workers | Avg. hourly wage, all occupations | Avg. cost of fast food meal | Minutes worked for meal, fast food workers | Minutes worked for meal, all occupations | Difference (minutes) |
| 1 | San Jose, CA | $20.83 | $58.25 | $11.91 | 34.3 | 12.3 | 22 |
| 2 | Washington, DC | $16.65 | $43.47 | $11.17 | 40.3 | 15.4 | 24.9 |
| 3 | Atlanta, GA | $13.55 | $33.73 | $10.13 | 44.9 | 18 | 26.9 |
| 4 | Houston, TX | $12.78 | $31.87 | $9.71 | 45.6 | 18.3 | 27.3 |
| 5 | Austin, TX | $14.09 | $34.32 | $9.63 | 41 | 16.8 | 24.2 |
| 6 | Dallas, TX | $13.48 | $32.89 | $10.28 | 45.8 | 18.8 | 27 |
| 7 | Boston, MA | $17.43 | $41.85 | $11.45 | 39.4 | 16.4 | 23 |
| 8 | Salt Lake City, UT | $13.99 | $33.38 | $10.16 | 43.6 | 18.3 | 25.3 |
| 9 | San Francisco, CA | $20.67 | $48.15 | $12.73 | 36.9 | 15.9 | 21 |
| 10 | New York, NY | $17.50 | $40.65 | $12.25 | 42 | 18.1 | 23.9 |
Tap here to view the full rankings.